The Greek campaign in view of the June 7 Euroelections continued on
Sunday evening with the two mainstream party leaders addressing rallies
in separate central cities of the country.

Prime Minister Costas Karamanlis addressed a rally in the city of
Lamia, saying that "in the face of false dilemmas, the government
replies with a positive proposal for national understanding, national
rallying and a national response to the international challenge."

"We must coordinate our efforts to promote today the changes that the
country needs. We must go ahead, all of us together, with a new wave of
reforms that will place the country among the winners of the global
crisis," the prime minister said.

On his part main opposition PASOK party leader George Papandreou
addressing a similar rally in the city of Larissa, stressed that
interests currently exist that feel suited with illegality, impunity,
injustice and inequality and reiterating his slogan of "either we
change or we sink."

Prime Minister Costas Karamanlis addressed a Euroelection campaign
rally in the city of Lamia, central Greece, on Sunday evening, saying
that "in the face of false dilemmas, the government replies with a
positive proposal for national understanding, national rallying and a
national response to the international challenge."

"We must coordinate our efforts to promote today the changes that the
country needs. We must go ahead, all of us together, with a new wave of
reforms that will place the country among the winners of the global
crisis," the prime minister said.

Criticising the main opposition PASOK party, Karamanlis said that
"instead of changing, they are sinking in their unreliability" and
accused it of "arrogance, unreliability and irresponsibility".

Karamanlis referred to the difficulties that his government faced,
stressing that "at every step we faced strong reactions from
well-established interests. In every reform we faced the barren refusal
of the opposition. In every change we attempted, we faced on PASOK's a
monotonous 'no'. They were never able to realise why we are changing
things."

He referred in particular to the sectors of government policy such as
educational reforms, social security reform, land planning and the new
energy policy.

Focusing on economc issues in particular, the prime minister underlined
the decrease in unemployment by four percentage points and the easing
of deficits. He enumerated policy measures to strengthen the social
state and analysed the country's exact position in relation to the
European map during this period.

"The economy's biggest weakness lies in the debt left by the past
governments," Karamanlis stressed and noted that this year we are
paying 12 billion euros for interest alone.

"We are taking difficult decisions, but for the collective benefit,"
Karamanlis said and concluded by saying that "we are responding with
responsibility to the challenges of the times, we respect the younger
generations in practice."

Prime Minister Costas Karamanlis on Saturday toured a recently
completed stretch of the Egnatia motorway spanning the breadth of
northern Greece , as the particular section, constructed in a remote
mountainous section of the closed highway, was considered as amongst
the most difficult.

"The Egnatia motorway is a project that will change citizens' lives
throughout Greece . It's also unique in Greece , given the nature of
the project. I am thoroughly impressed," the premier said, ahead of
next weekend's Euro-Parliament elections.

"We are very proud that this project was completed on time and during
our governance. We are also very proud because all the difficult
sections were completed and built in an exceptional way and with
respect to the environment," he added.

A brief ceremony was held near the Venetiko junction, east of the city
of Ioannina , the last section connecting the roadway with the town of
Grevena . A smaller section of the motorway connecting Ioannina with
the Ionian port town of Igoumenitsa will be delivered in June.

Prime Minister Costas Karamanlis continued his tour of northwest Greece
on Saturday evening with an address in the port city of Igoumenitsa,
Thesprotia prefecture, hours after inaugurating a crucial stretch of
the Egnatia motorway that connects Greece's Ionian Sea coast with the
Evros prefecture on the border with Turkey.

Speaking a week before the European Parliament elections, Karamanlis
continued to hammer home his ruling party's message and to sharply
criticise the opposition, especially the main opposition, stressing
that "above all we put the country's needs first."

Conversely, he charged that opposition PASOK is irresponsible, given
that it has stooped to "danger-mongering with the economy", as he
said.

Earlier, Karamanlis inspected works to upgrade and expand the port of
Igoumenitsa, which services most ferry routes to the island of Corfu
and increased routes to Italy. Igoumenitsa is the western-most
destination of the Egnatia motorway, which spans the breadth of
northern Greece.

In referring to the wider Epirus region, in mountainous northwest
Greece, he said the province is transforming into an energy hub, given
the TGI natgas pipeline, along with the high-profile Egnatia and port
upgrade projects.

In again returning to the main opposition, he directly referred to two
recent statements, ridiculing a "socialism or barbarism" phrase uttered
by PASOK leadership last week, while emphasising that a statement by
rival PASOK leader George Papandreou, namely, "either we change or we
sink", doesn't refer to the country but to PASOK itself.

Main opposition PASOK party leader George Papandreou addressed a
Euroelections campaign rally in the city of Larissa, in central Greece,
on Sunday evening, stressing that interests currently exist that feel
suited with illegality, impunity, injustice and inequality and
reiterating his slogan of "either we change or we sink."

Papandreou further said that "they are interests which cannot survive
in a state of law. The only fear for them is PASOK. They fear no one
else. Because today only PASOK guarantees a different course for the
country's governance."

The PASOK leader stressed that PASOK "guarantees a reliable and dynamic
government" and that "for this reason they will deal blows at us any
way they can, and for this reason they want to assist the smaller
parties and abstention, they fear the great change."

Referring to the ruling New Democracy (ND) party, Papandreou said "a
vote for ND is a vote for those who plunged Greece into a crisis that
is economic, institutional, political and of values. It is a vote for
those who are responsible for corruption and a writeoff. It is a vote
for those who invest in lies. It is a vote for those who live protected
from the reality that the citizen is experiencing on a daily basis."

Papandreou noted that "the crisis, both in Greece and in Europe, was
created by policies and politicians whose measure was not man and the
public interest but unaccountable profiteering which is identified, in
the conscience of the European citizen, with specific conservative
parties and persons."

He concluded by saying that the battle on June 7 "is a battle for us to
put an end to the policies of barbarism."

Main opposition PASOK party leader George Papandreou toured farmlands
in the region of Almyros, in the prefecture of Magnisia in central
Greece on Sunday and accused the government of "lacking planning and of
inconveniencing farmers even for their receiving subsidies from the
European Union."

Referring to his party's commitments for farmers, Papandreou said "we
have committed ourselves for a New National Strategy for the farming
sector and we shall revise the way of providing rights so that
injustices are tackled and there will be absolute transparency."

Papandreou also assumed the commitment that PASOK will be supportive
"in every way to enable the farmer to have the necessary profit and
prosperity and our country to have competitive products as well."

Main opposition PASOK party leader George Papandreou on Saturday toured
several 2004 Olympic Games facilities at Aghios Kosmas and Faliro
districts of southern coastal Athens .

Papandreou said his party will "face all minor and major interests"
that block efforts to create a unified recreational and cultural
coastline from the working class Piraeus district of Drapetsona, in the
west, to the upscale seaside suburb of Glyfada, in the east.

"We have a huge natural wealth, one of the most beautiful Mediterranean
beaches and the Greek people invested in the Athens Olympic Games in
order to have access to the beach," Papandreou said, adding that "after
five years of New Democracy government the facilities are totally
abandoned.".

He said that these things must end and promised that PASOK will rectify
the situation.

Main opposition PASOK leader George Papandreou continued his
appearances and addresses ahead of next Sunday's European Parliament
elections, with the former foreign minister speaking to young people
and adults on Saturday evening in a west Athens district's pedestrian
way.

Papandreou, who walked the length of the main promenade in the Bournazi
district, repeated his recent high-profile statement, noting that
"either we change or we sink".

A concert organised by the party's youth wing was later held in the
area.

In a related development, in comments carried by an Athens weekly,
Papandreou emphasised that "each vote that changes things is a vote for
PASOK ... protests are not enough to change the course the country has
taken."

Communist Party of Greece (KKE) leader Aleka Papariga continued her
pre-elections appearances and addresses, as she spoke to supporters in
the coastal town of Oropos, north of the greater Athens area.

Papariga emphasised that the Oropos district has for many years
suffered from pollution caused by neighbouring industries further
inland, which affect streams, the water table and coastal waters. She
also decried the lack of a sewage system in the region.

Turning to the upcoming European Parliament elections, Papariga said
the main issue, according to her, is whether the KKE will be stronger
from the ballot, rather than whether ND or PASOK will come in first.

The KKE leader underlined that the only positive progress for the
working classes are those that will mark KKE's increased strength,
adding that on the illegal migrants' issue "the problem is
international and cannot be solved within a country"

"In this ballot a clear condemnation against EU can be expressed.
Whoever wants to protest and express his opposition to this Union of
big capital and anti-social measures, of militarism and war may do so
by casting a vote for KKE," she added, in repeating her communist
party's leitmotif against the European Union.

On illegal migrants and security issues, Papariga said that "simplified
explanations cannot give answers but obscure consciences and give way
to racism. They prepare the way to intensify the reactionary measures;
surveillance mechanisms in our country and in EU."

Coalition of the Left, Movements and Ecology (Synaspismos) party leader
Alexis Tsipras addressed an election campaign rally in the city of
Nafplio, in the Peloponnese, on Sunday urging citizens to vote in the
Euroelections and expressing confidence that young people will vote
because "young people are in a state of insecurity and feel the
pressure of the crisis and for this reason those who want to persuade
us not to vote and to turn our backs on the ballot box will see that
they are wrong."

Greek Ambassador to Cyprus Vassilis Papaioannou said Sunday emphasised
that "certain convergences have been registered but serious
disagreements still remain", in reference to on-going inter-communal
talks that began here last September for the finding of a solution to
the protracted Cyprus problem.

In an interview with the Sunday edition of Cyprus' "Phileleftheros"
newspaper, the Greek envoy noted: "If we consider the Turkish Cypriot
side's position on issues such as governance, and particularly the one
regarding the executive power, or that of properties, we will ascertain
substantial differences, which refer directly to its (T/C side) own
intransigence."

Papaioannou also referred to what he called "backtracking" on the part
of the Turkish Cypriot side regarding an issue that has already been
agreed upon, such as the opening of the Limnitis crossing point.

The Turkish and Turkish Cypriot sides insist on "their maximalist
positions and remain intransigent", the Greek envoy added, indicating
that the exhortations, such as "the opportunity must not be lost" and
"the process must be accelerated" could not be addressed to the one
side alone, but "must focus on the Turkish and Turkish Cypriot sides".

Cyprus President Demetris Christofias and Turkish Cypriot leader Mehmet
have been engaged in direct negotiations since September 2008, with a
view to reach a settlement to the Cyprus problem, divided since a
Turkish invasion of the island in 1974 and the occupation of the island
republic's northern part.

During their last meeting, on May 21, held in the presence of Alexander
Downer, the UN Secretary General's Special Adviser on Cyprus, the two
leaders discussed the opening of a crossing point at Limnitis, in the
north-west, to facilitate movement to and from the island's northern
Turkish-occupied areas.

In statements following the meeting, President Christofias had
expressed disappointment regarding the stance of the Turkish Cypriot
leader on the particular issue.

Health and Social Solidarity Minister Dimitris Avramopoulos laid the
foundation stone for the new general hospital in the city of Halkida,
on the island of Evia, in eastern Greece, on Sunday.

The project, one of great importance for the wider region, will cost 69
million euros and will have a capacity of about 300 beds.

"The new hospital will cost about 69 million euros amd I must tell you
that the timetable for its construction will be observed fully, since
there is no problem concerning its funding," Avramopoulos said.

"It will be one of the most modern hospitals in the country. At the
strategic point that it is located here in Halkida, with the new road
axes, together with the fact that the hinterland of Evia was facing
various problems for many years with the tourist perspective as well,
that I am certain is emerging on the horizon wonderful for Evia in its
entirety. The new hospital will provide its modern services, above all,
for the citizens and inhabitants as well as for visitors and
investors.

"At the same time, and it is a question of a week, the small but
ultramodern hospital of Istiea (northern Evia) will have its foundation
stone laid."

According to the minister, the construction of the new hospital in
Halkida is expected to be completed in two years.

Two foreign nationals, 40 and 49, were arrested on Saturday by
Thessaloniki police on charges of attempting to transport 17 illegal
migrants that sneaked into the country from neighbouring Turkey via the
Evros River frontier.

All of the suspects were arrested and police are conducting an
investigation.

A police sergeant serving at the foreign nationals' directorate in
central Athens was arrested over the weekend, along with his
girlfriend, by internal affairs officers and charged with demanding
money from third country nationals in order to facilitate their
applications for political asylum.

According to the police charges, the duo charged 600 euros per
applicant in order to bypass the directorate's bureaucratic process and
the long queues at the specific police facility off Petrou Ralli
street.

Panathinaikos Athens beat crosstown rival AEK 2-0 at the Athens Olympic
Stadium in a playoff game on Sunday and secured participation in
European Champions League qualifying rounds. The goals were scored by
Karagounis (30' pen.) and Rukavina (36'). AEK will play in Europa
League qualifying rounds.

In the other game, PAOK Thessaloniki beat Larissa 1-0 at Toumba Stadium
with a goal scored by Anastasakos (22') and ended third in the series.

Cloudy, rainy on Monday [00] Cloudy and rainy weather, and northerly
winds are forecast in most parts of the country on Monday, with wind
velocity reaching 3-6 beaufort. Temperatures will range between 12C and
31C. Cloudy in Athens, with northeasterly 3-4 beaufort winds and
temperatures ranging from 16C to 31C. Cloudy in Thessaloniki with local
showers, with temperatures ranging from 15C to 27C.

Next Sunday's European Parliament elections, opinion polls and the
resurgent interest in the Siemens bribery and kickbacks furor mostly
dominated the headlines in the Sunday editions of Athens' dailies.

ADESMEFTOS TYPOS: "Ruling New Democracy (ND) party to head into
national elections with (PM Costas) Karamanlis: Interview by FM Dora
Bakoyannis".

APOGEVMATINI: "Relief for unemployed with 23,000 new jobs".

AVGI: "Interview with leftist leader Alekos Alavanos".

AVRIANI: "Jail them all (in Siemens case) before they escape overseas."

Cyprus Minister of Foreign Affairs Markos Kyprianou on Sunday expressed
the governmentès satisfaction with the adoption of UN resolution 1873,
renewing the mandate of the UN Peacekeeping Force in Cyprus (UNFICYP)
for a further six months.

In statements to the press, Kyprianou said ''the resolution includes
all fundamental principles we wanted to see, especially the recognition
of the important role of UNFICYP in Cyprus as well as the fundamental
parameters of a Cyprus settlement.''

Kyprianou noted that ''the procedure for the renewal of the mandate
this year was not easy at all,'' adding that ''with the help of
countries which stand by Cyprus we consider that we have achieved our
goal''.

He said that some UN Security Council members and the UN Secretariat
are thinking about the future of UNFICYP, noting that the Cyprus
government will be following developments closely.

Asked about the cooperation betweeen the governments of Greece and
Cyprus, in view of the assessment of Turkish EU accession course in
December, the foreign minister said that all scenarios and possible
reactions of Nicosia are been examined.

Cyprus President Demetris Christofias and Turkish Cypriot leader Mehmet
have been engaged in direct negotiations since September 2008, with a
view to reach a settlement of the problem of Cyprus, divided since the
Turkish invasion of the island in 1974.

Cyprus Permanent Representative to the UN Minas Hadjimichael has
expressed the governmentès satisfaction with the fact that the UN
Security Council has reiterated and endorsed in the resolution it
adopted on May 29 for the renewal of the mandate of the UN Peacekeeping
Force in Cyprus (UNFICYP), the agreed basis for the comprehensive
solution to the Cyprus Problem, which is a bi-zonal, bi-communal
federation, with political equality as set out in the relevant Security
Council resolutions.

Speaking after the approval of resolution 1873, Hadjimichael also
expressed appreciation to the members of the Security Council who voted
in favour of the adoption.

"As you know, it has always been the position of my Government that the
presence of the UN Peacekeeping Force in Cyprus is indispensable, it is
a condition sine qua non, as long as the occupation of part of the
territory of the Republic of Cyprus by Turkey, persists", he said.

As far as the content of this resolution is concerned, the Cypriot
Ambassador said that the Government is pleased with the fact that the
Security Council has reiterated and endorsed in no uncertain terms, the
agreed basis for the comprehensive solution to the Cyprus Problem,
which is also the agreed basis upon which the talks are being conducted
between the leaders of the two communities in Cyprus within the Good
Offices Mission of the UN Secretary-General, and which is no other than
a bi-zonal, bi-communal federation, with political equality as set out
in the relevant Security Council resolutions, he noted.

"We are also satisfied that the same resolution recognizes the ongoing,
the continuing violations of the military status quo and the
restrictions imposed on UNFICYP's movements, by the Turkish occupation
forces", he added.

Regarding the notion of renewing UNFICYP's operations, Hadjimichael
said that the Cypriot Government is pleased to note that "the
Resolution stipulates that any contingency planning could be effected,
only once a settlement has been agreed and is in place, and that
therefore, the implementation of any such contingency plans or
adjustments to the Force, will concern the, post-solution era".

Finally, he reiterated that the Republic of Cyprus remains fully
engaged in the ongoing talks and will continue as always to cooperate
fully with the Secretary-General, with his representatives and of
course with the Security Council in order to find a settlement pursuant
to the agreed basis, that would be in line with Security council
Resolutions, International Law and Legality.

British diplomat: SC encourages the two sides to accelerate efforts for
solution

British Permanent Representative to the United Nations Sir John Sawer
has said that the UN Security Council encourages the two parties in
Cyprus to accelerate their efforts in the direct negotiation process
"in order to take advantage of what we see as a unique opportunity to
resolve the question of Cyprus, to re-unify the island".

Sawer made a statement after the approval of resolution 1873 by the
Security Council for the renewal of the mandate of the UN Peacekeeping
Force in Cyprus (UNFICYP) for another six months.

"We've encouraged the parties in the negotiation to accelerate their
efforts, to intensify their work in order to take advantage of what we
see as a unique opportunity to resolve the question of Cyprus, to
re-unify the island. The basis of this is clearly set out in this and
previous Security Council Resolutions, a lot of work has been done in
the past, but we want to see this opportunity seized, and we will
strongly support the leaders on the Island in their attempts to do so",
Sawer said.